Mysterious “Whale” Moves 57,577 Bitcoin (BTC)
The transfer between unknown wallets suggests that the BTC network is still capable of transporting significant wealth.
A “whale” transaction was once again observed on the Bitcoin network, moving 57,577 BTC, or above $414 million. The source of the transaction are multiple addresses that consolidated the sum, and the recipient is the Bittrex exchange.
The transfer suggests there may be significant owners of BTC still unidentified. But the whale transaction also shows one of the values of the Bitcoin network, for carrying significant transactions at a low cost.
In the past month, a couple of transactions near $1 billion were noted, along with multiple other transfers. In the past years, there were many ways to create “whales”, including simple buying. Liquidations on exchanges, some large-scale Ponzi schemes, and simply older wallets, may be the answer.
The entire Bitcoin network often carries $1 billion in daily transactions value, and above $400 million on weaker days.
BTC flows to and from exchanges are also correlated to price action. The funds that have reached Bittrex may suggest an attempt to sell some of the coins.
The large-scale transactions are being watched as BTC prices are teetering again on the edge of a “death cross” of moving averages, with a prediction for a drop below $7,000. The recent BTC recovery above $7,400 failed to re-spark a rally.
BTC traded at $7,256.61 on Wednesday, as volumes calmed down to $18 billion’s equivalent in 24 hours. Exchange flows remain relatively tame, with some exchanges seeing withdrawals.
Sending BTC to exchanges happens during more active price appreciation, in expectation of realizing profits for some of the coins. Peak exchange flows happened during the summer rally, and slowed down in the last months of 2019.
The Bitcoin network still carries close to 300,000 confirmed transactions per day, with temporary drops in activity. Daily, there are a handful of larger transactions of a few hundred or a thousand BTC, usually moving to exchanges or between exchange wallets.